Re-export Business Q&A

Interested in the identification of transshipment trade and want to understand how it is defined in terms of trade process, cargo transportation, and documents. The best answer states that the identification of transshipment trade depends on the trade process, where goods are shipped from the country of production to a third country and then to the country of consumption. Cargo transportation generally does not involve substantial processing in the third country. Documents need to be consistent with the process and include relevant contracts, bills of lading, etc. Meeting these elements is generally sufficient for identification.

Considering engaging in processing re-export trade, I want to know if this trade model is subject to taxes, if so, what types of taxes are involved, and what are the policy differences across different regions. The best answer states that re-export goods usually do not enter the national customs territory and therefore typically do not require payment of import-related taxes and fees. Domestic processing involves value-added tax, and imported materials processed under specific modes can be temporarily exempted or refunded. Policies differ across regions, so it is recommended to consult local customs and tax authorities.

Interested in understanding processing re-export trade, which is considered complex, asking about its differences from general trade and operational considerations. The best answer explains that processing re-export trade combines processing trade with re-export trade, where goods are processed in a transit location before being resold, involving more steps than general trade. During operations, attention must be paid to transit location policies and regulations, processing qualifications, logistics coordination, etc., to ensure smooth trade.

Our company is located in Xuancheng and plans to develop re-export trade business. As we have no prior experience, we are looking for a company with rich experience, professional service, good reputation, and an advantage in cost control. We are asking which re-export trade company in Xuancheng is good. The best answer recommends "Zhongmaoda", stating it is experienced, offers professional service, has a good reputation, and can provide cost control advantages.

Interested in Wenzhou's entrepôt trade, inquiring about its advantages and disadvantages in terms of geographical location and policy environment, as well as its prospects under the current economic situation, with concerns about the impact of the international situation and trade barriers. The best answer states that Wenzhou has a superior geographical location, favorable policies, and a developed manufacturing industry. Although it faces challenges such as the international situation, as long as it leverages its advantages and addresses challenges, entrepôt trade is expected to develop well.

The company plans to launch re-export trade business but is unsure how to obtain relevant documents, seeking specific methods and reliable channels. The best answer points out that obtaining documents for re-export trade requires focusing on aspects such as cargo transportation and trade contracts, including securing bills of lading, retaining contracts, and acquiring commercial invoices. Additionally, proper organization and archiving of documents are crucial to ensure business compliance and clarity.

Want to understand what tax entrepôt trade belongs to. Entrepôt trade is defined as trade of goods between the country of production and the country of consumption through a third country. The best answer indicates that entrepôt trade does not directly correspond to a specific tax type. In terms of customs duties, the third country usually only charges a small fee, and the consuming country levies import duties according to its policies. For value-added tax, profit from price differences may involve corporate income tax, and related services may involve value-added tax, etc., which specifically depends on the tax policies of each country.

Interested in transshipment trade and want to understand its characteristics through cases. The best answer uses Chinese apparel enterprise A as an example, which uses transshipment trade to first export apparel to Singapore and then re-export it to the United States, demonstrating characteristics of transshipment trade such as circumventing trade barriers, increasing product added value, utilizing policy differences, and reducing logistics costs.

When handling company business, questions arise regarding whether a customs declaration form necessarily indicates re-export trade, inquiring about their relationship and how to determine it. The best answer points out that a customs declaration form does not necessarily mean re-export trade. A customs declaration form is a document for declaring the import and export of goods, while re-export trade refers to goods being transshipped through a third country. Determination requires a comprehensive assessment of factors such as whether the goods are processed or stored in the third country, and whether ownership is transferred.

A company plans to engage in transshipment trade and inquires whether customs duties are payable. It is stated that the goods are only temporarily stored and repackaged in the transit country and are not intended for local consumption. The best answer indicates that whether customs duties are payable in transshipment trade depends on the circumstances. If the goods are in a specific zone in the transit country and have not entered the domestic market, they generally do not need to be taxed. If they enter the domestic market or undergo processing, duties may be levied, and reference should be made to the transit country's regulations.